Corporate Income/Franchise and Emergency Excise Taxes Interest Rate is Lowered to 4 Percent
For the Period July 1, 2003, Through October 31, 2003

Corporate Income/Franchise and Emergency Excise Taxes Interest Rate Will Increase to 8 Percent
For the Period November 1, 2003, Through December 31, 2003

Interest Rate on Deficiencies That Arose on or After January 1, 2000, Will Be
Recalculated November 1, 2003

Amnesty Program
Effective July 1, 2003, Through October 31, 2003

Amnesty

From July 1, 2003, until October 31, 2003, an Amnesty Program will be in effect. Businesses and individuals are eligible if there is a liability for tax, penalty, or interest due on or prior to June 30, 2003.

Interest Rate Changes

Florida law provides a floating rate of interest on corporate income tax and emergency excise tax underpayments and overpayments for taxable years ending on or after December 31, 1986. The rate of interest for the period July 1, 2003, through October 31, 2003, is lowered to 4 percent. The daily interest rate factor to be used for this period is .000109589. For deficiencies (underpayments) due prior to July 1, 2003, the interest due may be eligible for further reduction under the Amnesty Program if the deficiency is paid between July 1, 2003, and November 1, 2003.

The rate of interest for the period November 1, 2003, through December 31, 2003, will increase to 8 percent. The daily interest rate factor to be used for this period is .000219178. This rate is subject to change effective January 1, 2004.

The rates of interest on deficiencies that remain unpaid as of November 1, 2003, and arose on or after January 1, 2000, will increase by as much as 4 percent (rates are subject to a 12 percent cap) for prior periods (see table).

For Taxable Years Ending On Or After December 31, 1986

The interest rates for all tax periods from January 1, 1987, through December 31, 2003, are:

Interest Periods	Rates on Deficiencies (Underpayments) Prior to November 1, 2003*	Rates on Deficiencies (Underpayments) Effective on November 1, 2003*
01/01/87 - 06/30/88 07/01/88 - 06/30/89 07/01/89 - 06/30/90 07/01/90 - 12/31/91 01/01/92 - 06/30/92 07/01/92 - 12/31/92 01/01/93 - 12/31/94 01/01/95 - 06/30/95 07/01/95 - 12/31/95 01/01/96 - 12/31/96 01/01/97 - 12/31/97 01/01/98 - 06/30/99 07/01/99 - 12/31/99 01/01/00 - 06/30/00 07/01/00 - 12/31/01 01/01/02 - 06/30/02 07/01/02 - 06/30/03 07/01/03 - 10/31/03 11/01/03 - 12/31/03	8 percent 9 percent 11 percent 10 percent 9 percent 7 percent 6 percent 7 percent 8 percent 9 percent 8 percent 9 percent 8 percent 8 percent 9 percent 7 percent 5 percent 4 percent	8 percent 9 percent 11 percent 10 percent 9 percent 7 percent 6 percent 7 percent 8 percent 9 percent 8 percent 9 percent 8 percent 12 percent 12 percent 11 percent 9 percent 8 percent 8 percent

Interest Periods	Rates on Overpayments*
01/01/87 - 06/30/88 07/01/88 - 06/30/89 07/01/89 - 06/30/90 07/01/90 - 12/31/91 01/01/92 - 06/30/92 07/01/92 - 12/31/92 01/01/93 - 12/31/94 01/01/95 - 06/30/95 07/01/95 - 12/31/95 01/01/96 - 12/31/96 01/01/97 - 12/31/97 01/01/98 - 06/30/99 07/01/99 - 12/31/99 01/01/00 - 06/30/00 07/01/00 - 12/31/01 01/01/02 - 06/30/02 07/01/02 - 06/30/03 07/01/03 - 10/31/03 11/01/03 - 12/31/03	8 percent 9 percent 11 percent 10 percent 9 percent 7 percent 6 percent 7 percent 8 percent 9 percent 8 percent 9 percent 8 percent 8 percent 9 percent 7 percent 5 percent 4 percent 8 percent

*Note: For taxable years ending on or after December 31, 1986, no interest is allowed if an overpayment of tax is refunded or credited within three months after the date the taxpayer files a written notice with the Department.

For Taxable Years Ending Before December 31, 1986

For taxable years ending before December 31, 1986, the rates listed below remain constant and in effect for the applicable taxable year until the tax is paid or refunded.

Effective Date **	Rate on Underpayments	Rate on Overpayments***
1/1/72 - 6/27/76 6/28/76 - 12/31/86	6 percent 12 percent	6 percent 6 percent

**Note: An interest rate of 6 percent applies to any amount based on a corporate income tax return required to be filed prior to June 28, 1976. For returns required to be filed after June 27, 1976, for taxable years ending before December 31, 1986, the interest rate of 12 percent applies to underpayments. The 6 percent daily interest rate is .000164384, and the 12 percent daily interest rate is .000328767.

***Note: For taxable years ending before December 31, 1986, no interest is allowed if the overpayment is refunded within nine months after the last date prescribed for filing the return or within nine months after the return was filed, whichever is later.

References: Sections 220.807, (2003); 214.14 and 214.43, (1985), Florida Statutes; and Rule 12C-1.343, Florida Administrative Code; Senate Bill 18A, 2003 Special Session A.

FOR MORE INFORMATION

This document is intended to alert you to the requirements contained in Florida laws and administrative rules. It does not by its own effect create rights or require compliance.

For forms and other information, visit our site at www.myflorida.com/dor. Or call Taxpayer Services, Monday through Friday, 8:00 a.m., to 7:00 p.m., ET, at 800-352-3671 (for Florida residents only), or 850-488-6800

Hearing- or speech-impaired persons should call our TDD at 1-800-367-8331 or 850-922-1115.

For a detailed written response to your questions, write the Florida Department of Revenue, Taxpayer Services, 1379 Blountstown Highway, Tallahassee, FL 32304-2716.

To receive a fax copy of a form, call 850-922-3676 from your fax machine telephone.